Aditya Birla Groups UltraTech will acquire the cement business of the BK Birla Groups Kesoram Industries in an all-stock deal at an estimated enterprise value of around ₹7,600 crore, which includes debt.
On November 30, UltraTech Cement Limited, the biggest cement firm in India, made headlines when it revealed its grand acquisition plan of Kesoram Industries Ltd. This action represents a significant strategic advance for UltraTech and has the potential to change the dynamics of the cement business in India.
Kesoram Industries Ltd. announced on Thursday that its cement business will be merged with UltraTech Cement Ltd. to unlock the value and to deleverage its balance sheet.
The board of directors of UltraTech considered Kesoram's proposal and approved a scheme of arrangement among Kesoram, the company and their respective shareholders, UltraTech Cement said in its exchange filing.
Under the demerger agreement, UltraTech will issue 1 equity share for every 52 equity shares of Kesoram.
Kesoram Industries Ltd to demerge cement division into UltraTech Cement Ltd equitybulls.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from equitybulls.com Daily Mail and Mail on Sunday newspapers.